NYSE$ESE

ESCO Technologies Inc · Q1 2025 earnings

Q1 2025 earnings · · After market close · Investor relations

Briefing

ESCO Technologies reported strong Q1 2025 results with significant growth in sales, GAAP EPS, and Adjusted EPS, driven by robust performance across all segments.

ESCO Technologies Inc. delivered an outstanding first quarter for fiscal year 2025, with sales increasing by 13.2% to $247.0 million and GAAP EPS rising by 54% to $0.91. Adjusted EPS also saw a substantial increase of 48% to $0.92, or 41% to $1.07 excluding acquisition-related amortization. The company achieved a record backlog of $907 million, reflecting strong order flow and market conditions.

  • Q1 2025 Sales increased by 13.2% to $247.0 million compared to the prior year.
  • GAAP EPS rose by 54% to $0.91, and Adjusted EPS increased by 48% to $0.92.
  • The company achieved a record backlog of $907 million with a book-to-bill ratio of 1.11x.
  • Net cash provided by operating activities significantly increased to $34 million, up $25 million from the prior year.

Headline financials

Total Revenue

$247M

Previous: $218M+13.2%
EPS (adj)

$1.07

Previous: $0.59+81.4%
Entered Orders

$275M

Previous: $172M+59.9%
Book-to-Bill Ratio

1.11

No prior period
Ending Backlog

$907M

No prior period
Capital Expenditures

-$7.8M

Previous: -$10.8M+27.8%
Net Income

$23.5M

Previous: $15.2M+54.7%
Operating Income

$32.2M

Previous: -$197M+116.4%
Gross Profit

$90.4M

Previous: $84.2M+7.4%

Revenue & EPS history

ESCO Technologies · Revenue · Quarterly

$247M

Q1 2025+13.2%vs Q1 2024
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

ESCO Technologies · $150M total across 2 segments · Q2 2023

  • Aerospace & Defense
    $98.9M
  • Test & Measurement
    $51.2M

Forward guidance

ESCO Technologies is raising its full-year guidance for fiscal 2025 due to strong market conditions and continued operational improvement, with Adjusted EPS now expected to be in the range of $5.55 to $5.75, representing 16% to 21% growth over the prior year.

Tailwinds

  • Strong market conditions and continued improvement in operational performance.
  • Raising full-year Adjusted EPS guidance to $5.55 - $5.75.
  • Expected 16% to 21% growth in Adjusted EPS over the prior year.
  • Initial revenue guidance range of $1.09 to $1.11 billion (6% to 8% annual growth) remains in line.
  • Q2 Adjusted EPS expected to be in the range of $1.20 to $1.30, representing 10% to 19% growth over the prior year quarter.

Headwinds

  • Acquisition related amortization will be excluded from Adjusted EPS calculation, which impacts comparability with prior guidance.
  • The pending SM&P acquisition's impact on FY 2025 acquisition related amortization is not included in current assessment.
  • The SM&P acquisition closing is subject to certain conditions, including regulatory approval processes in the UK.
  • The SM&P acquisition is expected to close either in the second or early third fiscal quarter, which could introduce integration complexities.
  • Inflationary pressures and mix partially offset margin improvements in A&D and Test segments.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2025

Historical avgQ1 2025

+0.4%

Avg return

Earnings day

+1.9%

Avg return

5 days after

+1.0%

Avg return

30 days after

50%

34 / 68 earnings

Positive

+19.7%

Q1 2025

Best reaction

-12.7%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-1.0%-9.4%-11.7%
Q1 2026+6.2%+18.8%+11.8%
Q4 2025+6.4%+1.3%-5.4%
Q2 2025+5.7%+13.4%+12.6%
Q1 2025+19.7%+25.0%+21.9%
Q4 2024+0.7%+2.1%-2.3%
Q3 2024+3.0%+2.8%+1.9%
Q2 2024-4.1%-4.1%-3.1%
Q1 2024-4.8%-5.0%-2.2%
Q4 2023+0.3%-0.1%+8.8%
Q3 2023+2.5%+1.6%-1.1%
Q2 2023+1.1%+0.7%+0.2%
Q1 2023-7.5%-5.0%-12.3%
Q4 2022+2.9%+6.2%-2.5%
Q3 2022+1.5%+13.7%+3.2%
Q2 2022+6.1%+4.2%+9.1%
Q1 2022-3.6%-8.6%-7.3%
Q4 2021+0.5%-2.4%-6.2%
Q3 2021+1.1%-4.1%-9.3%
Q2 2021-0.5%-0.0%-15.9%
Q1 2021+2.6%+3.7%+8.3%
Q4 2020-1.1%+3.7%+0.7%
Q3 2020+1.3%-0.0%-4.4%
Q2 2020+1.8%+6.0%+20.7%
Q1 2020+7.2%+5.8%-8.3%
Q4 2019+2.0%+0.5%+4.6%
Q3 2019-4.2%-4.6%-3.6%
Q2 2019-4.3%-3.0%-3.7%
Q1 2019+1.2%+2.1%+2.4%
Q4 2018+10.8%+9.7%+7.8%
Q3 2018+6.8%+6.7%+11.4%
Q2 2018+2.1%-1.0%+4.0%
Q1 2018+6.5%+1.1%+1.2%
Q4 2017-1.2%+3.5%+4.7%
Q3 2017-12.7%-16.0%-10.9%
Q2 2017-2.2%-1.8%+0.6%
Q1 2017-7.7%-4.6%-6.4%
Q4 2016+5.6%+9.5%+12.7%
Q3 2016-0.1%+0.9%+5.6%
Q2 2016-1.1%
Q1 2016-2.2%
Q4 2015+0.3%
Q3 2015-2.6%
Q2 2015+0.5%
Q1 2015-2.5%
Q4 2014-2.1%
Q3 2014+0.9%
Q2 2014+3.0%
Q1 2014+4.9%
Q4 2013-2.0%
Q3 2013-4.1%
Q2 2013-8.3%
Q1 2013-0.5%
Q4 2012-0.7%
Q3 2012+0.6%
Q2 2012+1.0%
Q1 2012+5.9%
Q4 2011+3.1%
Q3 2011-3.3%
Q2 2011-1.1%
Q1 2010-2.0%
Q1 2011-0.4%
Q4 2010-2.1%
Q2 2010-2.1%
Q4 2008-2.1%
Q4 2009-2.3%
Q3 2009-2.3%
Q3 2010-2.3%

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